Unicredit S.p.a. · MIL:UCG

Unicredit — Q1 2020 Earnings Presentation

80 slides from Unicredit's earnings presentation, May 6, 2020

1. Slide 1: 1Q20 Results

   6 May 2020 Banking that matters. | € UniCredit

2. Slide 2: Agenda

   UniCredit Group - Strictly Confidential Agenda Executive summary Group P&L Group balance sheet Closing remarks Annex 2

3. Slide 3: Decisive Covid-19 response to protect all stakeholders

   Decisive Covid-19 response toUniCredit protect all stakeholders Group - Strictly Confidential Strong capital and liquidity position to support clients and communities Executive summary  Decisive action: continue to deliver efficient customer service while protecting well-being of all stakeholders 

4. Slide 4: Resilient business model underpinned by very strong CET1 MDA buffer

   UniCredit Group - Strictly Confidential Resilient business model underpinned by very strong CET1 MDA buffer Executive summary 1Q19 4Q19 1Q20 %∆ vs 4Q19 %∆ vs 1Q19 Revenues, bn 4.8 4.9 4.4 -9.7% -8.2% Costs, bn -2.5 -2.5 -2.5 -1.3% -0.7% CoR, bps 40 137 104 1 -33 +64 Gross NPE, bn 37.6 25.3 24.9 -1.5

5. Slide 5: Early decisive action to protect stakeholders in response to Covid-19

   UniCredit Group - Strictly Confidential Early decisive action to protect stakeholders in response to Covid-19 Executive summary “One Bank, One UniCredit”– Italy learnings applied as best practice; first mover in Germany, Austria & CEE  Rapid response in Italy: achieved c.10% presence in large build

6. Slide 6: Covid-19 crisis is accelerating client adoption of multi channel

   UniCredit Group - Strictly Confidential Covid-19 crisis is accelerating client adoption of multi channel Executive summary 1Q19 1Q20 ∆ Y/Y # Active digital users, m 7.2 7.5 +5% Covid-19 represents the opportunity to: # Active mobile banking  Accelerate change and 100 127 +27% transformation: users,

7. Slide 7: UniCredit has provided 28bn to 279k clients under the moratoria

   UniCredit Group - Strictly Confidential UniCredit has provided 28bn to 279k clients under the moratoria Executive summary Moratoria1 State guarantee programmes % of total Country2 # Clients, k Volume, bn  From April, loan programmes backed by portfolio state guarantees rolled out in most geographie

8. Slide 8: A simple pan-European commercial banking business, diversified and resilient

   A simple pan-European commercial banking business, diversified and UniCredit Group - Strictly Confidential resilient Executive summary Underlying CoR Commercial Customer Customer GDP, % # Clients, m GOP, m excl. IFRS9 bank1 loans2, bn deposits2, bn macro, bps 2020 2021 1Q20 -15.0% +9.0% 7.6 134 155

9. Slide 9: Proactive capital allocation and proven discipline in risk management

   UniCredit Group - Strictly Confidential Proactive capital allocation and proven discipline in risk management Executive summary Accelerated balance sheet 1Q19 4Q19 1Q20 derisking 54.6 44.8 43.9 BTP portfolio reduction No carry trades BTP banking book, bn No volume lending Cumulative gross proceeds o

10. Slide 10: Agenda

    UniCredit Group - Strictly Confidential Agenda Executive summary Group P&L Group balance sheet Closing remarks Annex 10

11. Slide 11: A strong start to the quarter, with Covid-19 impacting from March

    UniCredit Group - Strictly Confidential A strong start to the quarter, with Covid-19 impacting from March Group P&L - Summary Data in m ∆ % vs ∆ % vs 1Q19 4Q19 1Q20 4Q19 1Q19 Main drivers Total revenues 4,768 4,850 4,378 -9.7% -8.2%  Commercial revenues stable Y/Y thanks to a strong fee performance

12. Slide 12: Net profit impacted by non-operating items, in line with guidance

    UniCredit Group - Strictly Confidential Net profit impacted by non-operating items, in line with guidance Group P&L - Summary Data in m ∆ % vs ∆ % vs 1Q19 4Q19 1Q20 Main drivers 4Q19 1Q19  Majority of annual systemic charges booked in 1Q Net operating profit 1,791 681 624 -8.3% -65.1% Other charges

13. Slide 13: Underlying net profit impacted by decision to anticipate realistic IFRS9 macro scenario impairments

    Underlying net profit impacted by decision to anticipate realistic IFRS9 UniCredit Group - Strictly Confidential macro scenario impairments Group P&L - Underlying net profit Underlying net profit1 by division 1Q20, m 126 12 18 8 -2 -58 -58 -162 (a) (a) (a) (a) (a) 1Q20 CB Italy CB Germany CB Austria

14. Slide 14: Net interest lower due to pressure on customer loan rates

    UniCredit Group - Strictly Confidential Net interest lower due to pressure on customer loan rates Group P&L - NII Net interest1 Q/Q, m Average Euribor 3M -0.40% (-0bps Q/Q) -3.0% -0.5% 2,578 2,515 2,502 -8 -48 +23 -6 +7 +13 +6 Commercial dynamics: -32m 1Q19 4Q19 Performing loans Deposits Term TLTRO

15. Slide 15: Fees up strongly in January and February prior to Covid-19 impact

    UniCredit Group - Strictly Confidential Fees up strongly in January and February prior to Covid-19 impact Group P&L - Fees Fees, m +5.2% -0.5% Q/Q Y/Y 1,629 1,620 1,541 Investment fees 543 637 620 -2.6% 14.2% Financing fees 443 429 438 2.1% -1.0% Transactional fees 555 563 562 -0.2% 1.2% 1Q19 4Q19 1

16. Slide 16: Client driven trading income down 34% Q/Q because of lower client activity

    Client driven trading income down 34% Q/Q because of lower client UniCredit Group - Strictly Confidential activity Group P&L - Trading and dividends Trading income, m Dividends1, m XVA2 Client Others driven (w/o XVA) -62.7% -39.0% -64.5% 167 -23.4% 442 464 133 107 102 400 165 300 -34.4% 197 128 58 3

17. Slide 17: Costs lower in 1Q20 thanks to continued discipline

    UniCredit Group - Strictly Confidential Costs lower in 1Q20 thanks to continued discipline Group P&L - Costs Trading income, m Costs, m -0.7% -1.3% Q/Q Y/Y 2,510 2,525 2,493 Non HR costs1 954 976 951 -2.5% -0.3% HR costs 1,555 1,549 1,542 -0.5% -0.9% 1Q19 4Q19 1Q20 Cost/Income 52.6% 52.1% 56.9%  Lo

18. Slide 18: Underlying CoR so far unaffected by Covid-19

    UniCredit Group - Strictly Confidential Underlying CoR so far unaffected by Covid-19 Group P&L - LLPs and CoR Loan loss provisions, m Underlying cost of risk1, bps Regulatory headwinds on LLPs Additional impairments from IFRS9 macro Stated CoR -38.7% Non Core LLPs for updated rundown strategy 137 bp

19. Slide 19: Disciplined underwriting reflected in expected loss on new origination

    UniCredit Group - Strictly Confidential Disciplined underwriting reflected in expected loss on new origination Group P&L – Expected loss Underlying expected loss(a) on stock1, bps 1Q20 expected loss(a) – stock distribution avg EL>1% 38 35 36 8% 0.36%<avg EL<1% 30% 62% avg EL<0.36% 1Q19 4Q19 1Q20 Und

20. Slide 20: Realistic assumptions underpin CoR outlook

    UniCredit Group - Strictly Confidential Realistic assumptions underpin CoR outlook Group P&L - LLPs and CoR Covid-19 impact on GDP, illustrative exit trajectories, Western Europe Level of Different shape of exit production trajectory moves FY20 GDP by c. 6p.p. Recover in supply and demand Progressiv

21. Slide 21: Majority of loan book in more resilient sectors

    UniCredit Group - Strictly Confidential Majority of loan book in more resilient sectors Group P&L - LLPs and CoR GDP growth, % 1Q20 portfolio composition1, bn 9.0 10.0 Covid-19 impact, with selected examples ~485  High impact (10%) High 10% – Transport, Travel & Airline – Shipping – Tourism Medium

22. Slide 22: IFRS9 macro scenario LLPs mostly driven by sectors more impacted by Covid-19

    IFRS9 macro scenario LLPs mostly driven by sectors more impacted by UniCredit Group - Strictly Confidential Covid-19 Group P&L - LLPs and CoR Group cost of risk, bps IFRS9 specific LLPs Breakdown by segment Regulatory headwinds 104 IFRS9 macro Low Impact High Impact Underlying 33% 33% 74 46 12 15% 1

23. Slide 23: FY20 CoR driven by IFRS9 macro scenario LLPs and expected sector LLPs

    FY20 CoR driven by IFRS9 macro scenario LLPs and expected recognition of UniCredit Group - Strictly Confidential sector and specific LLPs as risks materialise Group P&L - LLPs and CoR FY20 Group cost of risk FY20 Underlying, IFRS9 macro & sector specific LLPs1 Breakdown by segment Regulatory headwin

24. Slide 24: Agenda

    UniCredit Group - Strictly Confidential Agenda Executive summary Group P&L Group balance sheet Closing remarks Annex 24

25. Slide 25: Resilient underlying asset quality

    UniCredit Group - Strictly Confidential Resilient underlying asset quality Group balance sheet - Group excluding Non Core Group excluding NonTrading Core - Non performing income, m exposures1, bn o/w Gross bad loans, bn -15.1% -24.1% +0.7% -0.3% 19.8 9.9 7.5 7.5 16.7 16.8 Net bad loans 2.9 2.1 2.1 1

26. Slide 26: Non Core rundown continues with further reductions in 1Q20

    UniCredit Group - Strictly Confidential Non Core rundown continues with further reductions in 1Q20 Group balance sheet - Non Core Non Core - Non performing exposures, bn Actions on Non Core rundown, bn 1Q20 -54.4% Disposals 0.2 17.7 -5.7% Recoveries 0.1 8.6 8.1 Write-offs 0.2 Net NPEs Back to Group

27. Slide 27: Very strong capital position, significant increase in MDA buffer

    UniCredit Group - Strictly Confidential Very strong capital position, significant increase in MDA buffer Group balance sheet - Capital walk Fully loaded Common Equity Tier 1 ratio, % Including 77bps MDA buffer, 312 1 of CRD5 Art.104a 436 bps benefit +37bps +33bps 13.44% -2bps -1bp 13.22% -20bps -16b

28. Slide 28: TLAC MDA buffer of 391bps

    UniCredit Group - Strictly Confidential TLAC MDA buffer of 391bps Group balance sheet - TLAC TLAC Buffer Regulatory requirement Actual data TLAC buffer 23.50% well above 50-100bps 21.00% 2.50% 391bps range target 2.99% 391bps 2.53% 13.44% 2.04% 436bps 19.60% 17.10% 9.08% 1Q20 Additional Tier 1 Tier

29. Slide 29: Tangible equity impacted by IFRS9 macro scenario LLPs and Team 23 integration costs

    Tangible equity impacted by IFRS9 macro scenario LLPs and Team 23 UniCredit Group - Strictly Confidential integration costs Group balance sheet Group - Tangible balance Equity sheet Tangible equity (end-of-period), bn Tangible book value per share1 -5.5% +9.8% -3.4% +9.5% -3.5% -5.6% 52.0 53.0 23.7

30. Slide 30: Agenda

    UniCredit Group - Strictly Confidential Agenda Executive summary Group P&L Group balance sheet Closing remarks Annex 30

31. Slide 31: UniCredit is ready for the next phase as lockdown restrictions begin to ease

    UniCredit Group - Strictly Confidential UniCredit is ready for the next phase as lockdown restrictions begin to ease Closing remarks Open branches1 Principles Commercial  Health and safety of employees and clients is the Group's top Phase 1 Phase 2(a) Bank priority and will always remain  Progress

32. Slide 32: Doing the right thing for all our stakeholders

    UniCredit Group - Strictly Confidential Doing the right thing for all our stakeholders Closing remarks UniCredit’s core strengths and focussed business model to ease Covid-19 impact:  Pan-European scale: leadership position in our 13 core markets (top 3 bank in 8 out of 13 markets)  Customer focus

33. Slide 33: Agenda

    UniCredit Group - Strictly Confidential Agenda Executive summary Group P&L Group balance sheet Closing remarks Annex 33

34. Slide 34: ESG ratings

    UniCredit Group - Strictly Confidential ESG ratings1 Annex - ESG Rating range Comment Lowest Highest Level Level ESG Rating:  UniCredit is ranked in the 99th percentile of banks 5.0 0 1 2 3 4 5  Ranked at max level in all categories (E, S and G) Ratings and level of compliance EE+  Only bank in I

35. Slide 35: Comprehensive ESG 2023 targets

    UniCredit Group - Strictly Confidential Comprehensive ESG 2023 targets Annex - ESG Policy and principles Social impact banking  Endorsement of Task Force on Climate Related Financial Disclosures (TCFD)1 Support Adhere to recommendations as clear signal of UniCredit environmental commitment financia

36. Slide 36: CB Italy

    CB Italy UniCredit Group - Strictly Confidential Strong fee performance in January & February, Covid-19 impact from March Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  NII -4.6% Q/Q mainly due to changes in Total revenues 1,779 1,757 1,689 -3.9% -5.1% deposi

37. Slide 37: CB Germany

    CB Germany UniCredit Group - Strictly Confidential NII benefitted from material one-off item Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  NII benefitted from a material one-off item Total revenues 596 646 622 -3.7% +4.2% linked to a tax litigation case. Adj

38. Slide 38: CB Austria

    CB Austria UniCredit Group - Strictly Confidential Very strong fee income in January & February, Covid-19 impact from March Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  NII fell 9.3% Q/Q mainly due to one-off Total revenues 354 415 342 -17.7% -3.5% items an

39. Slide 39: CEE

    CEE UniCredit Group - Strictly Confidential Resilient performance despite revenue headwinds and IFRS9 macro LLPs Annex - divisional data Data in m (a) ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  NII -4.5% Q/Q at constant FX due to non- Total revenues1 991 1,027 959 -5.7% -2.9% commercial i

40. Slide 40: CIB

    CIB UniCredit Group - Strictly Confidential Solid NII and fee performance offset by trading Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  Resilient NII thanks to European loan market Total revenues(a) 1,036 1,044 809 -22.6% -22.0% leadership o/w Net interest

41. Slide 41: Group Corporate Centre

    Group Corporate Centre UniCredit Group - Strictly Confidential Lower dividends drive increased net operating loss Y/Y Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  Revenues -45m Y/Y mainly due to lower Total revenues1 11 -10 -34 n.m. n.m. dividends from Yapi

42. Slide 42: Non Core

    Non Core UniCredit Group - Strictly Confidential Rundown continues Annex - divisional data Data in m ∆ % vs ∆ % vs Main drivers 1Q19 4Q19 1Q20 4Q19 1Q19  Gross NPEs further reduced by 0.5bn with all Total revenues -1 -30 -8 -73.9% n.m. actions contributing, including disposals Operating costs -43 -

43. Slide 43: Commercial loans and customer rates by division

    UniCredit Group - Strictly Confidential Commercial loans and customer rates by division Annex - divisional data Avg gross commercial performing loans1 1Q20, bn Gross customer performing loan rates2 1Q20 Q/Q Y/Y Q/Q Y/Y CB Italy 130.4 CB Italy 2.44% -0bps -1.1% -2.3% -bps -12bps -4bps excl. one-off4

44. Slide 44: Commercial deposits and customer rates by division

    UniCredit Group - Strictly Confidential Commercial deposits and customer rates by division Annex - divisional data Avg commercial deposits1 1Q20, bn Customer deposits rates2 1Q20 Q/Q Y/Y Q/Q Y/Y CB Italy 152.9 CB Italy 0.02% -0bps -0bps -0.4% 4.9% -bps -bps CB Germany 87.9 1.8% 3.5% CB Germany -0.01

45. Slide 45: TFAs

    UniCredit Group - Strictly Confidential TFAs Annex - Group P&L Group TFAs1, bn -1.7% -5.9% Q/Q Y/Y 674 704 663 AuM 188 202 180 -10.5% -3.8% AuC 135 140 118 -15.8% -12.8% Deposits 351 362 364 0.5% 3.7% 1Q19 4Q19 1Q20  1Q20 net sales: AuM -0.6bn and AuC -1.1bn  1Q20 market performance: AuM -20.3bn a

46. Slide 46: FTEs and branches

    UniCredit Group - Strictly Confidential FTEs and branches Annex - Group P&L FTEs, eop Branches Q/Q Q/Q -1,169 -133 -303 -67 85,111 84,245 83,942 3,783 3,717 3,650 CEE 24,110 CEE 875 871 863 24,142 24,111 -0.1% -0.9% W.E. 61,001 60,103 59,831 W.E. 2,908 2,846 2,787 -0.5% -2.1% 1Q19 4Q19 1Q20 1Q19 4Q1

47. Slide 47: 1Q20 LLPs and CoR breakdown by division

    UniCredit Group - Strictly Confidential 1Q20 LLPs and CoR breakdown by division Annex - Group P&L IFRS9 macro scenario breakdown by division, 1Q20 Regulatory headwinds Underlying IFRS9 macro CEE 1,261 16% 5 48% CB ITA LLPs, m 902 CIB 20% 5% CB AUT 11% 354 CB GER bps o/w o/w 104 1Q20 Underlying IFRS9

48. Slide 48: FY20 expected CoR breakdown by division

    UniCredit Group - Strictly Confidential FY20 expected CoR breakdown by division Annex - Group P&L FY20 Group cost of risk, bps FY20 CoR1 Breakdown by division  FY 2020 expected CoR is a combination of estimates for:  specific provisions related to 100-120 expected evolution of asset 0-10 quality o

49. Slide 49: Stated net profit by division

    UniCredit Group - Strictly Confidential Stated net profit by division Annex - Group P&L Stated net profit by division 1Q20, m 115 15 -58 -22 -2 -730 -2,024 -2,706 1Q20 CB Italy CB Germany CB Austria CEE CIB Group CC Non Core Group stated -25.1% 1.1% -8.6% 4.9% -0.8% n.m. n.m. RoAC 49 The end notes a

50. Slide 50: Adjustments for underlying net profit as per CMD guidance

    UniCredit Group - Strictly Confidential Adjustments for underlying net profit1 as per CMD guidance Annex - Group P&L Group stated vs underlying net profit1, m Underlying RoTE2 -0.4% +1,347 +143 +5 -58 -516 +1,669 -2,706 1Q20 Yapi transactions3 Integration Real estate Regulatory Tax effects 1Q20 stat

51. Slide 51: 2019 Non operating items

    UniCredit Group - Strictly Confidential 2019 Non operating items Annex - Group P&L 2019 2019 Net profit, m Division Net profit, m Division Group recast effect from Group recast effect from 1Q real estate revaluation / +46 All divisions 3Q real estate revaluation / +80 All divisions disposals disposa

52. Slide 52: 2020 Non operating items

    UniCredit Group - Strictly Confidential 2020 Non operating items Annex - Group P&L 2020 Amount Net before Division profit, m taxes, m Yapi deconsolidation -1,669 -1,669 GCC Integration costs in Italy -1,347 -1,272 All divisions1 1Q Additional real estate +516 +296 GCC disposals Regulatory headwinds

53. Slide 53: Covid-19 – loans under moratorium

    UniCredit Group - Strictly Confidential Covid-19 – loans under moratorium Annex - Group BS Gross loans under "moratorium", bn Loans under "moratorium" ex lege Loans under "moratorium" by the bank Loans under "moratorium" by Associazione Bancaria Italiana Italy Germany Austria CEE1 19.4 0.2 4.3 o/w 5

54. Slide 54: Covid-19 – loans covered by state guarantees

    UniCredit Group - Strictly Confidential Covid-19 – loans covered by state guarantees Annex - Group BS Gross loans covered by state guarantees, bn Net loans covered by state guarantee Risk for the bank Italy Germany Austria CEE 0.861 0.00 0.86 0.08 0.02 0.03 0.00 0.02 0.00 0.00 0.00 0.08 0.00 0.00 1Q

55. Slide 55: Asset quality by division

    UniCredit Group - Strictly Confidential Asset quality by division Annex - Group BS Net flows to NPEs, recoveries and write-offs – 1Q20, m Recoveries 133 114 82 96 73 494 Write-offs 110 21 56 27 65 280 969 426 393 1,344 Inflows 621 105 11 428 23 to NPE 147 97 -35 -18 41 -195 -86 Outflow to -42 -376 p

56. Slide 56: Impact of CRD5 Art. 104a on P2R and CET1 MDA buffer

    UniCredit Group - Strictly Confidential Impact of CRD5 Art. 104a on P2R and CET1 MDA buffer Annex - Group BS Impact of CRD5 Art. 104a on P2R and CET1 MDA buffer Comments  CRD5 Art. 104a introduces the possibility for CET1 ratio banks to cover Pillar 2 Requirement ('P2R') 13.44% not only with CET1 i

57. Slide 57: TLAC/MREL funding plan

    UniCredit Group - Strictly Confidential TLAC/MREL funding plan Annex - Group BS UniCredit SpA 2020 funding plan, bn Main drivers Still to be  UniCredit SpA has successfully executed 4.5bn of issued in TLAC eligible funding in 1Q20, in particular: 2020 c.13  €1.25bn 12NC7 Tier 2 transaction MREL el

58. Slide 58: RWA walk

    UniCredit Group - Strictly Confidential RWA walk Annex - Group BS RWA1 Q/Q, bn Credit -17.7bn Market 371.7 378.7 +0.9 +1.2 -0.1 -2.0 361.0 Operational -20.4 +3.1 -0.4 Credit RWA: -20.5bn 327.8 334.3 313.8 11.5 11.5 14.6 32.5 33.0 32.6 1Q19 4Q19 Business Regulation Business FX effect Other credit Mar

59. Slide 59: Leverage ratio and CET1 fully loaded

    UniCredit Group - Strictly Confidential Leverage ratio and CET1 fully loaded Annex - Group BS Basel 3 leverage ratio transitional CET1 fully loaded +1.2p.p. +46bps +0.2p.p. -2bps 13.22% 13.44% 5.51% 5.49% 12.25% 5.04% MDA 312bps 219bps 436bps buffer MDA 10.07% 10.09% 9.08% requirement 1Q19 4Q19 1Q20

60. Slide 60: Tier 1 and total capital

    UniCredit Group - Strictly Confidential Tier 1 and total capital Annex - Group BS Tier 1 transitional Total capital transitional +1.6p.p. +1.6p.p. +0.6p.p. +0.3p.p. 14.90% 15.48% 17.69% 18.01% 13.93% 16.36% 330bps 457bps Buffer 279bps 409bps 466bps Buffer 236bps Minimum Minimum capital 11.57% 11.59%

61. Slide 61: Level 3 assets

    UniCredit Group - Strictly Confidential Level 3 assets Annex - Group BS Level 3 assets Figures in m Assets FV hierarchy 2Q191 4Q19 1Q20 Level 1 97,509 95,351 96,295 Level 2 70,399 65,914 74,573 Level 3 6,914 12,234 10,611 Financial Instruments 5,120 6,251 4,718 Tangible Assets 1,794 5,983 5,893 Over

62. Slide 62: End notes (1/8)

    UniCredit Group - Strictly Confidential End notes (1/8) End notes Please note that numbers may not add up due to rounding, and some figures are managerial. These notes refer to the metric and/or defined term presented on page 3 (Executive summary): 1. Approved moratoria and loans backed by state gua

63. Slide 63: End notes (2/8)

    UniCredit Group - Strictly Confidential End notes (2/8) End notes These notes refer to the metric and/or defined term presented on page 12 (Group P&L): 1. See press release of 02/04/20 for details "UniCredit and Italian trade unions sign agreement related to Team 23 strategic plan. 2. Underlying net

64. Slide 64: End notes (3/8)

    UniCredit Group - Strictly Confidential End notes (3/8) End notes These notes refer to the metric and/or defined term presented on page 19 (Expected loss): 1. Always excludes regulatory headwinds. For stock: 0bps in 1Q19; +2bps in 4Q19; 0bps in 1Q20. For the new business: 0bps in 1Q19; +1bps in 4Q19

65. Slide 65: End notes (4/8)

    UniCredit Group - Strictly Confidential End notes (4/8) End notes These notes refer to the metric and/or defined term presented on page 28 (TLAC): 1. As of March 2020, P2R at 175bps and countercyclical buffer of 10bps. 2. Non computable portion of subordinated instruments. This note refers to the me

66. Slide 66: End notes (5/8)

    UniCredit Group - Strictly Confidential End notes (5/8) End notes This note refers to the metric and/or defined term presented on page 36 (Division: CB Italy): 1. Normalised for integration costs (-1m) and impairment of intangible and other (-55m) in 4Q19 and integration costs in Italy (-742m) in 1Q

67. Slide 67: End notes (6/8)

    UniCredit Group - Strictly Confidential End notes (6/8) End notes These notes refer to the metric and/or defined term presented on page 42 (Division: Non Core): 1. Normalised for the revaluation of real estate (+2m), Non Core rundown (-707m o/w -1,055m of gross LLPs and +348m tax effect) and impairm

68. Slide 68: End notes (7/8)

    UniCredit Group - Strictly Confidential End notes (7/8) End notes These notes refer to the metric and/or defined term presented on page 50 (Stated vs Underlying net profit): 1. Underlying net profit is the basis for capital distribution. See page 50-51-52 in annex for details. 2. Underlying RoTE bas

69. Slide 69: End notes (8/8)

    UniCredit Group - Strictly Confidential End notes (8/8) End notes These notes refer to the metric and/or defined term presented on page 55 (AQ by division): 1. Including Profit Centre Milan. 2. The sum of the divisions shown is not equal to the Group excluding Non Core. This note refers to the metri

70. Slide 70: Glossary

    UniCredit Group - Strictly Confidential Glossary 70

71. Slide 71: Glossary (1/9)

    Glossary (1/9) UniCredit Group - Strictly Confidential Glossary Active digital users At least one login in online/mobile applications/M-site in the last three months Active mobile banking users At least one login in mobile application/M-site in the last three months (1 month for Germany) Allocated C

72. Slide 72: Glossary (2/9)

    Glossary (2/9) UniCredit Group - Strictly Confidential Glossary CASHES Convertible and Subordinated Hybrid Equity-linked Securities CB Commercial Banking Central Eastern Europe includes: Czech Republic, Slovakia, Hungary, Slovenia, Croatia, Bosnia and Herzegovina, CEE Serbia, Russia, Romania and Bul

73. Slide 73: Glossary (3/9)

    Glossary (3/9) UniCredit Group - Strictly Confidential Glossary CoR Cost of risk calculated as LLPs of the period annualised divided by average net customer loans Coverage ratio Stock of LLPs on NPEs divided by Gross NPEs CRD5 Capital Requirements Directive 5 Customer loan Real interest on loans div

74. Slide 74: Glossary (4/9)

    Glossary (4/9) UniCredit Group - Strictly Confidential Glossary EBA European Banking Authority EL Expected loss EMEA Europe, Middle East and Africa EoP End of period ESG Environmental, Social and Corporate Governance Euribor 3M 3-month Euribor; daily reference rate, published by the European Money M

75. Slide 75: Glossary (5/9)

    Glossary (5/9) UniCredit Group - Strictly Confidential Glossary FX Foreign exchange FY Financial year GDP Gross Domestic Product Gross NPEs Non performing exposures (before deduction of provisions) comprising bad loans, unlikely to pay, and past due; including only loans to customers and excluding d

76. Slide 76: Glossary (6/9)

    Glossary (6/9) UniCredit Group - Strictly Confidential Glossary MREL Minimum Requirement for own funds and Eligible Liabilities NC Non callable In 2013, UniCredit ring-fenced the so-called "Non-Core" portfolio in Italy with a target to reduce clients' Non Core exposure considered as not strategic; s

77. Slide 77: Glossary (7/9)

    Glossary (7/9) UniCredit Group - Strictly Confidential Glossary POI Profit on investments P2R Pillar 2 requirement Q/Q Current quarter vs previous quarter Return on allocated capital computed as 12.25% of RWA plus deductions for shortfall and securitizations RoAC (annualised net profit divided by th

78. Slide 78: Glossary (8/9)

    Glossary (8/9) UniCredit Group - Strictly Confidential Glossary SNP Senior non preferred Stated net profit Refers to Group, Group excl. Non Core and divisions. Profit as shown in our financial statements Shareholders’ equity (including consolidated profit of the period) less intangible assets (goodw

79. Slide 79: Glossary (9/9)

    Glossary (9/9) UniCredit Group - Strictly Confidential Glossary UC UniCredit S.p.A. Underlying net profit Stated net profit adjusted for non-operating items Underlying RoTE Underlying return on tangible equity (underlying net profit divided by average tangible equity) VPN Virtual private network WEU

80. Slide 80: Disclaimer

    UniCredit Group - Strictly Confidential Disclaimer This Presentation includes “forward-looking statements” which rely on a number of assumptions, expectations, projections and provisional data concerning future events and are subject to a number of uncertainties and other factors, many of which are

UniCredit — Q1 2020 Earnings Presentation on 6ix